Chapter 2 of 3

Who Makes The Money?

Companies make money. But who actually does the work?
Step 1

Meet the company

Let's look at one company. It has an owner and ten workers. The workers make things, serve customers, write code, drive trucks — they do the actual work that produces value.

🤵
Owner
👷 👷 👷 👷 👷 👷 👷 👷 👷 👷
10 Workers

Each worker produces €100 of value per day. Together, that's €1,000 of value — goods made, services delivered, work done.

Step 2

Where does the €1,000 go?

The company brought in €1,000 of value today. Now it gets divided up:

Value produced
€1,000
→ Materials & costs
€200
→ Worker wages
€400
→ Profit (owner)
€400

The workers produced all €1,000 of value. They received €400. The owner — who did not produce the goods — received €400.

The split as a fraction of value produced:

Wages
40%
Costs
20%
Profit
40%
Step 3

Read that again

Ten people did all the work. One person collected the same amount as all ten combined.

👷 × 10
€400
€40 each
Did all the work
vs
🤵 × 1
€400
€400 for one person
Owns the company

This isn't a broken company. This isn't a greedy boss. This is how the model works. The difference between what workers produce and what they're paid is, by definition, profit.

Step 4

The equation that runs everything

Profit = Value produced Wages Costs

For profit to exist, workers must be paid less than the value they create. If they were paid the full value, profit would be zero. No profit means the company can't repay its loans — remember Chapter 1.

This is not about fairness or greed. It's structural. The gap between what you produce and what you earn is not a flaw in the system. It is the system.

Step 5

Why this connects to debt

In Chapter 1, we saw that more money is owed than exists. Someone has to generate the extra money to cover the interest. Where does it come from?

It comes from here. From the gap between what workers produce and what they're paid. Profit services debt. And since debt always grows (because of interest), profit must always grow too. Which means the gap must widen — or new workers must be added, or they must produce more for the same pay.

Debt demands interest. Interest demands profit.
Profit demands a gap between work and wages.
The system doesn't exploit workers because bosses are cruel.
It exploits workers because the math requires it.

Move the sliders

Pay workers more. See what happens to profits — and to the company's ability to survive.

Value each worker produces per day €100
Wage per worker per day €40
Material & operating costs €200
Loan amount (from Chapter 1) €500
Interest rate on loan 5%
Where each €1 of value goes
Total value produced
€1,000
10 workers × €100
Total wages paid
€400
40% of value
Profit (owner keeps)
€400
40% of value
Owner earns per worker
€40
10× a single worker's wage
Can the company repay its loan?
Profit per year (≈250 working days) €100,000
Loan + interest owed €525
✓ Loan can be repaid

Profit is not a reward for cleverness or risk. It is the difference between the value workers create and the wages they receive. This gap isn't optional — it's what keeps the entire system running.

The debt from Chapter 1 demands profit. Profit demands underpaying labor. This is not a policy choice. It's the architecture.

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